Which of the Following Statements Is True If a Company

Multiple Choice

Which of the following statements is true if a company overstates the ending balance of inventory?

A) Cost of Goods Sold and profits will be overstated and Gross Margin will be understated.
B) Cost of Goods Sold,Gross Margin,and profits will be understated.
C) Cost of Goods Sold,Gross Margin,and profits will be overstated.
D) Cost of Goods Sold will be understated,Gross Margin and profits will be overstated.